Hiring picked up later this summer, especially for tourism and hospitality

While summer hiring had a sluggish start, figures show that it picked up towards the end of the season, keeping the tourism and hospitality sector in positive territory.

When comparing the beginning of summer (May) to the end (August), the tourism industry saw a 6.3% rise in job postings and hospitality saw a 5% increase.

The latest REC and Lightcast Labour Market Tracker did however also show that the number of overall active postings in August was down by 2.4% compared to the previous year.

REC Chief Executive Neil Carberry, commented on the findings, “There is no doubt that the jobs market remains slow by comparison to previous years, with summer holidays also affecting the pace of hiring. But there is little evidence of a sharp slowdown now.

“Firms are waiting for a clear signal on growth plans and the timing of potential additional cost challenges from the new government before making investment decisions, which makes the Budget next month a vital moment.

“Anecdote from REC members suggests that clarity on the timing and scope of both the Industrial Strategy and the Plan to Make Work Pay will also help to underpin decision-making and confidence.

“Consumer-facing sectors are particularly concerned about rumours of unwelcome additional challenges such as a rise in Employers’ National Insurance contributions. With sectors like hospitality and tourism struggling to adapt to a 20% rise in the Minimum Wage over the past two years, a slower start to the summer on hiring in these sectors was no surprise.

“It is great news that that has picked up – but small businesses in these sectors need support, not headwinds on employment costs at this time.”

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